Page 4 Advertisements Column 2

Oamaru Mail, Volume II, Issue 389, 24 July 1877, Page 4

PRCJSPICTUS these works, Messr3. Guthrie and Larnach have been compelled to ran the machinery 0 overtime, on an average- of two nights per -week, since the opening of the new Fac- \ tories. The whole of the extensive Factories and Stores (specially designed by David Koss, Esq., architect, of this city) are substantially built of brick and cement, on solid blue.stone Jr and concrete foundations (all timbers being of the best and most durable descriptions i, covering an area, including the timbe>- yards, r of several acres of valuable land in the chief „ streets of the city. I The whole of" the splendid modern maIC chinery was designed and planned by an eminent engineering (inn in Glasgow, under ;f * Mr. Guthrie's immediate supervision while 'S in Britain, and after a very careful inspection of the principal woodware factories in Ame1_ rica, Britain, and on the Continent. Each 'S machine has been firmly placed on a solid bed of concrete, where necessary, to prevent ° the possibility of vibration, and to avoid wear and tear. The contract for the purchase of machinery e was entered into when materials and labour e in Scotland were at their lowest. The important advantages to shareholders in a Joint .Stuck Company of entering into possession of a large manufacturing and importing business in full operation on a fixed '' date, with a thoroughly trained staff of officers and men and a large mercantile con- ' nection without having io wait for the erection of buildings, importation of plant, stock, etc., or being subjected to any of the ruks and delays incidental to the starting of a new business, and with ail preliminary expenses jiaid, should be at once apparent to investors. The following special advantages are \ worthy of notice : Ist. The whole of the machinery in the X Factories is driven by one pair of powerful engines, worked by two men—an engineer and fireman—whose wages may fairly be said to constitute the whole expense in connection 1 with the motive power, as the only fuel required to keep up steam is the sawdust and shavings drawn from the different factories as soon as made, by means of pneumatic tube?, and deposited in a large brick safe, ready for consumption alongside the boilers. By tins means all rubbish is utilised and made a source of pj'ofit, and the cost of labour reduced to a minimum. 2nd. The four Factories being worked under one roof, a great saving is conseouently effected, not only in the motive power, but also in the management, as the whole can be superintended and controlled - by one manager. 3rd. The Tub and Bucket Factory, now in > full operation, has a monopoly of the supply 7 of these indispensable articles, there being ! no other tub and bucket factory in the Aus- . tralasian Colonies. A large return may therefore bo looked for to the credit of this ! branch of the business. "* 4th. The whole of the Factories, especially the Furniture Factory, being worked in con- - nection with the general timber business, is carried on most profitably, not only from the fact of the iirst cost of the timber being procured at the cheapest possible rate, but also j that large quantities of short cuttings of j timber, which would otherwise either lie sold as job lots at a low price, or tent to the i'ur- * nace to be consumed as fuel, are utilised. The Union Sash and Door Company in Auckland is of a similar character to the JS~ew Zealand "Woudwaro Factories, only being much less extensive. It is, however, a L fair criterion to base ejaculations upon, as to what may be expected from the Xew Zealand Woodware Factories. The Company referred to has only been in active operation for a little over four years, and has paid annual dividends of 20 per cent., beside.? carrying large amounts to reserve fund; so that, in addition to the very handsome yearly dividends, the original 1.0 shares of the Company are now quoted at L 7 10s., and a new is.-aie allotted to shareholders, on which I.'_ 10s. has been paid up solely out of reserv.- fund, are quoted at L'S 10s., making the total market value of the original shares Lll, or a premium of 120 per cent. In connection with this, it is a fact that the pi-oiks shown to have been made in Messrs. Guthrie and Larnach's business for the same period considerably exceed that made by the Union Company in proportion to the capital invested ; so that the promoters have good reasons for believing that rot only will large dividends be paid regularly by the Company, but that its stock will at once become a much-sought-after and favorable investment Mr. Guthrie has consented to be fully identified with the business for a number of year* as Managing Director. Mr. Guthrie's practical skill and long experience in the trade arc well known ; the high position to which the firm has attained under his management indicates the measure of prosperity which may reasonably be expected in the future; ami as a ju'oof of Mr. Guthrie's and his partner's faitii in the future prospects of the concern, they are willing to hold one-fifth each, or equal to two-fifths of the entire capital on their own private account, purchased in fully paid-up shares. And as a further proof of their confidence in , the future prospects of the Company, they ' have decided to guarantee that the Company's' net profits for the first three years shall not be less than ten per cent, per annum on the actual capital for the time being - j employed in the business, or equal to a sum ' of about Lo",0U0 to be paid to the shareholders within three years. They expect and believe that the profits will considerably exceed this rate, but investors will by this means know the rate of their minima::; ' profits. By way of further securing the observance of the guarantee, the firm have i agreed to deposit with the Directors of the ? Company scrip of the Company during the 2 first year of the value of L 50.000, during the second year of 1.40,000, and during the third year of L 25 Oi.iO. and to execute a legal charge upon the same in favor of the Company. Intending shareholders may therefore rest *■ assured that no more legitimate or remunerative outlet for capital, or one presentm" better or more extensive future prospects, has ever been offered in IS~ew Zealand. * The reasons which htve induced Messrs. Guthrie and Larnach to take this step are—--Ist. That their term of partnership ex- I pires by effluxion of time in the course of a few months, when it is the intention of one of the partners to retire from active busi-